Throwing Dollars at the Sun

By WSJ.com Staff

The U.S. Department of Energy announced it would provide up to $168 million in funding for 13 solar-energy projects, including those sponsored by companies such as Boeing, BP, Dow Chemical and General Electric.

As part of cost-shared agreements, the 13 groups will contribute more than 50% of the funding for the projects, for a total value of up to $357 million in the next three years.

Boeing, after negotiations with DOE, is likely to receive about $5.9 million for the first year of its project, DOE said in a notice. BP Solar would see about $19.1 million, Dow Chemical would receive roughly $3.3 million and General Electric would receive $8.1 million. The companies will continue to negotiate the funding amount with the DOE.

Other solar technology companies such as SunPower and Nanosolar would also receive substantial funding.

“Solar technology can play a crucial role in moving toward affordable net zero energy homes and businesses - which combine energy efficiency and renewable energy produced on-site,” Energy Secretary Samuel Bodman said in a statement. “Efficient buildings with solar power generation can help reduce peak demand and ease the need for expensive new generating capacity, transmission, and distributions lines as our economy grows.”

Comments (5 of 6)

Solar power is the way to go to avoid running out of fuels. If the sun runs down,we will not be here anyway. Solar power does not add anything to our atmosphere. Burning anything-wood,coal,oil, nukes all add something to contaminate our space. Just because Bush is for it does not mean it is wrong. Energy from the sun is abundant and adds nothing to our space that will harm us. Donald Blum,P.E.

11:16 am March 9, 2007

Sheldon Kimber wrote :

First, these grants are tiny even for solar companies which are not really at massive scale yet in terms of projects. Second, the big names listed are misleading. As I understand it BP solar is not only a US based business unit with most of its operations here, but was actually an independent US company (Solarex?)full of people committed to advancing renewable energy (and most of those people are still there). Much of GE solar is actually Astropower, which GE acquired when it went bankrupt in an accounting scandal. Astropower was probably the largest independent, US manufacturer of solar. SunPower and its subsidiary Powerlight are both bay area start-ups that made good. Both are filled with probably the most environmentally committed people in the business. When we stop damning each other for being less committed to the environment than the next guy maybe we'll realize that small independent companies alone aren't going to solve the largest environmental/geopolitical crisis of our time. Maybe its a good sign that some big companies names are now on this list. It means the change is actually occuring.

11:07 am March 9, 2007

No way G H wrote :

Companies cannot donate directly to national candidates or political parties anymore. (Although some states allow company contributions to state candidates.) So how does giving money for solar research to BP translate into big campaign contributions? Some companies maintain PACs which rely on voluntary contributions by employees. Or individual employees may chose to give to the candidate of their choice.

So G H how does this work? BP Solar gets $19 million for research and then Sir John gets a raise so he can give more money to President Bush? Who BTW isn't running for anything.

9:31 am March 9, 2007

G H wrote :

Sarath:

No, it's corporate welfare for Big Oil.

BP recognized the need to put on a green suit before the other oil/gas conglomerates, but this is just the Bush Administration doing what it is best at: finding a way to give money to big companies who can make big campaign contributions.

8:56 pm March 8, 2007

Sarath Kotelawala wrote :

Why is it that a British co such as BP Solar gets the lions share of this money and US companies get less. Is this corporate welfare for the British.

About Environmental Capital

Environmental Capital provides daily news and analysis of the shifting energy and environmental landscape. The Wall Street Journal’s Keith Johnson is the lead writer. Environmental Capital is led by Journal energy reporter Russell Gold, and includes contributions from other writers at the Journal, WSJ.com, and Dow Jones Newswires. Write us at environmentalcapital@wsj.com.